SB1742 - 562R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Title 15, chapter 13, article 6, Arizona Revised Statutes, is amended by adding section 15-1705, to read:

START_STATUTE15-1705. Arizona community colleges promise program; eligibility; fund; definitions

A. If monies are appropriated to the Arizona community colleges promise program fund established by subsection E of this section, each district in this state shall establish and administer a community college promise scholarship fund consisting of monies received pursuant to subsection E of this section, grants, gifts and contributions and devises. MOnies in the community college promise scholarship fund ARE CONTINUOUSLY APPROPRIATED AND may be used for providing financial assistance to eligible students. Each district may use up to ten percent of the monies the district receives pursuant to subsection E of this section for administrative expenses and student support services. If there are insufficient monies in the community college promise scholarship fund to provide financial assistance to all eligible students, the district shall consider the following factors when establishing scholarship priorities:

1. socioeconomic factors that pose barriers to student success, as determined by the district.

2. A student's community engagement, including participation in community service projects.

3. Additional factors As determined by the district.

B. A student is eligible for a financial aid award pursuant to this section if the student:

1. For an initial award:

(a) Qualifies for resident student status as prescribed in section 15-1802.01.

(b) Satisfies the admission standards as determined by the community college.

(c) Completes and submits the free application for federal student aid and meets the income eligibility criteria for a federal Pell grant.

(d) Is admitted to and enrolled in the community college.

2. To maintain eligibility after receiving an initial award:

(a) Annually completes and submits the free application for federal student aid.

(b) Maintains enrollment at a community college.

(d) Complies with the standards related to maintenance of eligibility adopted by the district, district board or community college.

C. Each district board or community college shall establish a policy or guidelines outlining qualified expenses for which a student may use monies from a financial aid award pursuant to this section. Any policy or guidelines established pursuant to this subsection must allow an award recipient to use the monies for any cost of attending the community college and may not require the monies to be used only for tuition.

D. A district shall reduce a student's financial aid award pursuant to this section by the amount of any other federal aid scholarship, public grant and public aid received by the student from or through the community college in which the student is enrolled, including local scholarship programs, except that the award may not be reduced by the amount of federal grants received by the student from the department of child safety pursuant to the Arizona education and training voucher program.

E. The Arizona community colleges promise program fund is established consisting of legislative appropriations. The Arizona board of regents shall administer the fund. Monies in the fund are continuously appropriated and exempt from section 35-190 relating to lapsing of appropriations. tHE aRIZONA BOARD OF REGENTS shall distribute MONIES IN THE FUND to each district as follows:

1. Twenty percent of the monies appropriated for each fiscal year shall be divided equally among all districts in this state.

2. Eighty percent of the monies appropriated for each fiscal year shall be divided proportionately among all districts in this state based on each district's full-time equivalent student enrollment relative to the statewide audited full-time equivalent student enrollment for the preceding fiscal year, as prescribed in section 15-1466.01.

F. For the purposes of this section:

1. "community college" HAS THE SAME MEANING PRESCRIBED IN SECTION 15-1401.

2. "district" MEANS A COMMUNITY COLLEGE DISTRICT ESTABLISHED PURSUANT TO SECTIONS 15-1402 AND 15-1403.

3. "district board" HAS the same meaning prescribed in section 15-1401.END_STATUTE

START_STATUTESec. 2. Laws 2023, chapter 140, section 6 is amended to read:

Sec. 6. Spouses and dependents of law enforcement officers tuition scholarship fund; tuition scholarships; eligibility; rules; reporting requirements; delayed repeal; transfer of monies; definition

A. The spouses and dependents of law enforcement officers tuition scholarship fund is established consisting of legislative appropriations. The Arizona board of regents shall administer the fund. Monies in the fund are continuously appropriated and are exempt from the provisions of section 35-190, Arizona Revised Statutes, relating to lapsing of appropriations. In fiscal years 2023-2024, 2024-2025, 2025-2026 and 2026-2027 and Subject to available monies, the Arizona board of regents shall use the monies in the fund to award tuition scholarships to any individual who meets both of the following requirements:

1. Enrolls in any of the following:

(a) A university under the jurisdiction of the Arizona board of regents.

(b) A community college as defined in section 15-1401, Arizona Revised Statutes.

(c) A career technical education program that is offered to adults or an associate degree program offered by a career technical education district pursuant to section 15-398, Arizona Revised Statutes.

(d) A private postsecondary educational institution in this state that is licensed pursuant to title 32, chapter 30, article 2, Arizona Revised Statutes.

2. Is either:

(a) The spouse of a law enforcement officer.

(b) Under twenty-seven years of age and a dependent of a law enforcement officer.

B. An individual who meets the requirements prescribed in subsection A of this section may apply to the Arizona board of regents for a tuition scholarship from the fund in a manner prescribed by the Arizona board of regents. Subject to available monies, the Arizona board of regents shall award an eligible individual a tuition scholarship that is equal to the amount of tuition and mandatory fees charged by the university, community college or career technical education district in which the individual is enrolled, reduced by the amount of any federal aid scholarships or public grants and any other financial gifts, grants or aid received by that individual, except that if the individual is enrolled in a private postsecondary educational institution, the tuition scholarship may not exceed the remainder of the average in-state tuition and fees charged by universities under the jurisdiction of the Arizona board of regents minus other gifts and aid awarded to that individual. The Arizona board of regents shall verify that the individual satisfies the requirements prescribed in subsection A of this section before awarding a tuition scholarship. If the Arizona board of regents determines that an individual no longer satisfies the requirements prescribed in subsection A of this section, the Arizona board of regents may not distribute additional monies from the fund to the individual until the individual submits documentation showing that the individual satisfies all requirements prescribed in subsection A of this section.

C. A tuition scholarship provided pursuant to this section shall be:

1. Limited to not more than four academic years or eight semesters.

2. Used only for a career technical education district program certificate or license, a private vocational program as defined in section 32-3001, Arizona Revised Statutes, an associate degree or a baccalaureate degree.

3. Used only to pay tuition and mandatory fees at a career technical education district, a private postsecondary educational institution in this state that is licensed pursuant to title 32, chapter 30, article 2, Arizona Revised Statutes, a university under the jurisdiction of the Arizona board of regents or a community college as defined in section 15-1401, Arizona Revised Statutes. If the applicant is not charged to attend a career technical education district program, the Arizona board of regents may not award the applicant a tuition scholarship under this section.

D. Tuition scholarships under this section shall be awarded on a first-come, first-served basis. If there are insufficient monies in the fund, the Arizona board of regents may not award a tuition scholarship to an eligible individual under this section.

E. The Arizona board of regents may rely on a copy of the law enforcement officer's commission card and a current employment verification letter from the law enforcement officer's employer to establish that an individual is a law enforcement officer for the purposes of this section.

F. The Arizona board of regents may adopt rules for the purposes of administering this section.

G. On or before March 1, 2024 and each year thereafter, the Arizona board of regents shall report to the joint legislative budget committee and the governor's office of strategic planning and budgeting on all of the following:

1. The total number of students who received a tuition scholarship under this section by eligible postsecondary institution in the current academic year.

2. The total amounts awarded and average amounts awarded under this section by eligible postsecondary institution in the current academic year.

3. The total number of students who received a tuition scholarship under this section and who graduated or completed a program of study by eligible postsecondary institution.

4. Each law enforcement agency that employs a law enforcement officer whose spouse or dependent, or both, receives a tuition scholarship under this section.

H. From and after June 30, 2025, this section is repealed and all unexpended and unencumbered monies remaining in the spouses and dependents of law enforcement officers tuition scholarship fund established by this section are transferred to the state general fund.

H. I. For the purposes of this section, "law enforcement officer" means an individual who is currently employed as either a peace officer as defined in section 15-1808, Arizona Revised Statutes, or a correctional officer. END_STATUTE

Sec. 3. Financial aid trust fund; required state match; reduction

Notwithstanding section 15-1642, subsection C, Arizona Revised Statutes, for fiscal year 2024-2025, each dollar raised pursuant to the surcharge on student registration fees assessed pursuant to section 15-1642, subsection A, Arizona Revised Statutes, may be matched by less than $2 appropriated by the legislature.

Sec. 4. Community college districts; state aid for science, technology, engineering and mathematics and workforce programs

Notwithstanding section 15-1464, subsection A, paragraph 3, Arizona Revised Statutes, state aid for science, technology, engineering and mathematics and workforce programs for community college districts for fiscal year 2024-2025 is as specified in the general appropriations act.

Sec. 5. Community college districts; operating state aid; eligibility; limits

Notwithstanding section 15-1466, Arizona Revised Statutes, operating state aid for community college districts for fiscal year 2024-2025 is as specified in the general appropriations act.